An accounting device used to analyze transactions is a called a/an ____________ T ACCOUNT.

An accounting device used to analyze transactions is a

called a/an ____________

T ACCOUNT

An amount recorded on the left side of a T account is a ______

DEBIT

Each asset account has a normal _____ balance.

DEBIT

Each liability account has a normal _____ balance.

CREDIT

The balance of an account _____ on the same side as

the normal balance.

INCREASES

Asset accounts increase on the ______ side.

DEBIT

Each transaction changes the balance in at least ____

accounts.

TWO (2)

A list of accounts used by a business is called a _______________

CHART OF ACCOUNTS

When cash is paid for supplies, the supplies account is increased

by a ______.

DEBIT

Common accounting practice is to record withdrawals as debits directly in the ______ account.

NAME, DRAWING

The left side of an asset account is the ____ side

DEBIT

A drawing account is increased with a _____.

DEBIT

Increases in expense accounts are recorded as debits because they ______ the owner’s capital

account.

DECREASE

The normal balance side of an accounts receivable is a _____.

DEBIT

Accounts Payable accounts are _____ with a credit.

INCREASED

Advertising Expense is ____ with a debit.

INCREASED

Cash is decreased with a ___.

CREDIT

Prepaid Insurance is ____ with a credit.

DECREASED

To summarize withdrawal information separately from the other records, owner withdrawal transactions are recorded in the

____ account.

DRAWING

Increases to liability accounts are recorded on the ____ side.

CREDIT

The right side of a T account is the ____ side.

CREDIT

If an amount is recorded on the side of a T account opposite the normal balance side, the account

balance ______.

DECREASES

The normal balance side of an asset account is the ___ side.

DEBIT

When the owner invests cash in a business, the owner’s capital

account is increased by a ____.

CREDIT

When a business pays cash on account, a liability account is

decreased by a _____.

DEBIT

When cash is received from sales, the change in the owner’s equity is

usually recorded in a separate ______ account.

REVENUE

Increases in a revenue account are shown on a T accounts

____ side.

CREDIT

When $1,500 cash is received on account, ____ is decreased with

a credit and ____ is increased with a debit.

ACCOUNTS RECEIVABLE

CASH

The normal balance side of any expense account is the ____ side.

DEBIT